Having an amazing credit score is one of those seemingly illusive keys to happiness. Many of us get credit cards too soon, get credit cards at the wrong moment, abuse credit cards, and then spend years trying to “clean up” our messes.
Hi Credit Score Commandments – “Thou Shalt Not…”
…Debt: If you carry heavy loads of debt on your cards and you don’t make a lot of money you are going to suffer the credit score consequences.
…Be Truant: Another way to really upset the credit score Gods is to be late on your payments. Often. That’s never a good idea.
…Abstain: You’re not going to get any credit score at all if you don’t participate. Some people think that if they just hold out they will be able to use credit when they need it. But you should know better. You need to be in it to win it!
…Rely: Credit cards are a tool, not a crutch. If you rely too heavily on your credit cards you look really shabby to the credit reporting agencies and you run the risk of falling behind.
…Overextend: If you max out your credit cards and can’t pay them off in full (or choose not to) that’s not the secret to a high credit score.
…Carry High Balances: Carrying aggressively high balances on your credit cards compared against your income is going to be a notch down on your credit score.
…Bear False Witness: If you don’t get a credit report, that’s just foolish. But if you do get a credit report, look at it, see inaccuracies, and don’t combat them, that’s even worse.
…Charge-Off: We all have our situations but charge-offs from bankruptcy or debt settlement stay with your credit profile a good long while.
…Be Irresponsible: Don’t go spending just because you’ve got money available on your credit cards. Don’t max them out and not pay them. Being flagrant with credit is a sure ticket to a low credit score and maybe even getting your credit pulled by the provider.
…Worship False Idols: If you’re a good customer with good habits you could be treated well by your credit issuers. Some negative stuff could just get magically swept under the proverbial rug.
Grow your high credit score with these commandments to live by.
Image courtesy of www.creighton.edu.